In many respects, there’s no separation between your business and its financials, right? You may be completely focused on impact, making a difference, and accomplishing something of real substance, but at the end of the day if your financials fall apart so will your business idea.
Below we’re going to touch on the three pillars of managing business finances – business bank accounts, accounting software and business credit cards. Then, below each section are two links where you can look at our top provider reviews or head right to who we consider a leader in the space. Enjoy!
Where you choose to establish your brand’s financial persona is no easy matter and there are tons of options between local, state and national banks as well as credit unions. Who’s got the most to offer? Which bank has the best deals? Who represents the most perks given your specific circumstances?
What about purely digital banking options like those Capital One provides? Frankly put, where you bank is going to go a long ways in lightening your load and helping make your business more profitable. Use the links below to breeze through our top provider reviews or discover Capital One which is one of our favorites.
If your accounting needs are super-simple and you have no problem managing them yourself, or through the help of a family friend or something, then great! For the vast majority of entrepreneurs and startups out there though that simply isn’t the case. They need the help of not only a trained professional who understands the ins and outs, but modern accounting software that automates much of the process and provides detailed reports.
Thankfully there aren’t as many software options as there are accountants! Through the links below we break down the basics of the most popular providers, or you can head right over to Xero which has bent over backwards to create truly user-friendly accounting solutions.
Maybe lines of credit aren’t so easy to come by, like small business loans, but credit cards are another story altogether. Roughly 60% of all businesses use them, especially for supplies, equipment, to control employee spending, and enjoy the perks when it comes to travel and cash-back shopping incentives.
Did you know you can get business-specific credit cards that aren’t connected to your personal credit rating? Absolutely! We dive into this kind of information in our top provider reviews but if you want to save time we suggest checking out the benefits of Spark Cash (2% cash back, cash bonuses, unlimited miles…the works!).
What about my personal bank account and credit cards?
You don’t want to mix personal and business accounts for tax and liability reasons. Plus, it’s horrible housekeeping and muddies the water. Your financials should be clean and all in one secure place. Furthermore, the perks of business accounts are different and geared towards increasing revenue.
How should I file business taxes?
You can do this yourself, have it done done by an accountant or work with a conventional law firm which is what corporations do. Unless you’re a trained tax attorney, it’s best to work with a professional who can better leverage the complex tax code.
How much do I know about the perks for business accounts?
From transaction limits and digital banking, to interest rates and management services, how familiar are you with business banking? We gravitate towards a company like Capital One for their increased flexibility, great savings accounts rates, and resources for growth. There are many contrasts between banks.
Will I need an accountant if I use accounting software?
Use both ideally, because your accountant will likely be able to better leverage your financial data than you can, right? Again, you can take the DYI approach and use a provider like TurboTax but it’s not ideal.